Energy Update Debate
Full Debate: Read Full DebateDepartment: Department for Business, Energy and Industrial Strategy
Meg Hillier
Main Page: Meg Hillier (Labour (Co-op) - Hackney South and Shoreditch)Department Debates - View all Meg Hillier's debates with the Department for Business, Energy and Industrial Strategy
(2 years, 3 months ago)
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Greg Hands
My hon. Friend is always a strong voice for Redcar and Teesside. I think that every single question he has ever asked me has included hydrogen somewhere. He is auditioning, I think, to be the UK’s Mr Hydrogen. He has mentioned CCUS as well, which is a big priority of ours, and he is absolutely right to say that energy efficiency is so important. If we can reduce the amount of energy that is used to create the same level of heating in people’s homes, clearly that is a massive gain. That is why we have invested £6.6 billion over the course of this Parliament in energy efficiency.
Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)
The annual energy costs of a bar on my patch in Shoreditch—it is part of a large chain—have gone up from £30,000 last year to £120,000 this year. All energy contracts are now being renegotiated, with some experiencing an uplift of at least 300%, and since the pandemic some electricity suppliers are refusing to supply the hospitality sector. The Minister has given warm words, but there are two issues there. Will he give us comfort that he will act on at least one of them by talking to the energy suppliers about making sure that more of them can at least compete for the business of these important hospitality businesses?
Greg Hands
As ever, the hon. Lady raises an important and telling point. It is worth reminding ourselves, as I said earlier, that businesses tend to have long-term contracts for their energy bills. Prices were lower but they are now rising. There is an advantage in being locked into lower prices for a longer term, but there is, of course, a disadvantage when that long-term contract rolls off and they have to replace it. She is quite right about that. I am happy to look into the specifics of the bar that she mentions. There is no obligation currently on energy suppliers to supply businesses, unlike their obligation to provide to consumers, but I am happy to look into the specifics of the bar that she mentions in her constituency.